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2016-10-13 18:42:23

AEO

American Eagle

$17.30

-0.53 (-2.97%)

, UA

Under Armour

$38.18

-0.34 (-0.88%)

…18:42

10/13/16

10/13

18:42

10/13/16

18:42

Piper Jaffray U.S. teen survey shows declines for Facebook, cable TV

Research firm Piper Jaffray released results from its wide ranging, semi-annual "Taking Stock With Teens Survey," a national study of 10,000 high school students and their consumption trends. Total spending among teens fell 2.6%, but spending among upper-income respondents rose 2.5%, which the firm argues could be a potential leading indicator of future growth. American Eagle (AEO) registered as the top clothing brand among upper-income females, with mindshare growing 700 basis points to 17.4%. In footwear, survey data showed on-going traction for Under Armour (UA), though Adidas (ADDYY) also appeared to be gaining share, leading analyst Erinn Murphy to initiate the German apparel giant with an Overweight rating while upgrading Under Armour to Overweight. Nike (NKE) remained the top footwear brand among all teens. In handbags, Michael Kors (KORS) registered as the most preferred brand, while Fitbit (FIT) lead the way in wearables, a category which saw intent-to-purchase rise to 21% of survey takers from 18%. GoPro's (GPRO) presence among teen "wish lists" slid to 0.6%. Spending on restaurants, meanwhile, showing continued acceleration and represented 23% of outlays for upper-income teens, with Starbucks (SBUX) remaining the most preferred brand. Chipotle (CMG) remained the second most preferred among upper-income teens, and Piper noted that its subtly improving numbers "could suggest that trends are broadly mirroring the brand's efforts to drive traffic and awareness." In social media, Facebook (FB) engagement declined, "likely due to a mix of younger teens, Messenger divergence, and shifting use cases for social," while Snapchat continued to outperform as the most engaged and most preferred platform. Monthly engagement on Twitter (TWTR) among surveyed teens declined to 56% from last year's 58%, while preference for Twitter fell to 13% from 18%. Among e-commerce websites, Amazon (AMZN) retained its lead while mindshare for eBay (EBAY) was roughly unchanged, which Piper Jaffray called an incremental positive for the site after its previous declines. Ownership of Apple (AAPL) iPhones reached its highest ever at 74%, and 79% of teens said they expect their next phone to be an iPhone, though purchase intent for the Apple Watch remained at a modest 11%. In video games, the number of teens saying they intend to only purchase physical discs rather than downloads rose to 28% from the Spring survey's 26%, indicating that the shift towards game downloads and away from brick-and-mortar retailers like GameStop (GME) "isn't happening overnight." In movies, Disney (DIS) "dominated" the list of most anticipated films with its new "Star Wars," "Beauty and the Beast," "Pirates of the Caribbean," "Thor" and "Doctor Strange" properties. Finally, Pandora (P) showed continued mindshare losses among teens, who are pivoting towards on-demand services like Spotify and Apple Music, while Alphabet's (GOOG) YouTube rose to 26% of total daily video consumption, overtaking cable TV for the first time in the survey's history.

SunTrust analyst Pamela Quintiliano believes that American Eagle reported "solid" Q2 results, and she is upbeat about the company's new fashion offerings. The analyst raised her price target on the shares to $22 from $19 and keeps a Buy rating on the stock.

09/30/16

RHCO

09/30/16NO CHANGERHCO

American Eagle new CFO positive, says SunTrust

After American Eagle hired Bob Madore as its new CFO, SunTrust analyst Pamela Quintiliano calls him "an industry veteran" who has "an extensive background." She says that the company is doing well in the fall, and keeps a $22 price target and Buy rating on the shares.

10/10/16

BMOC

10/10/16UPGRADEBMOCOutperform

American Eagle upgraded on valuation, outlook at BMO Capital

As noted earlier, BMO Capital upgraded American Eagle to Outperform from Market Perform. As reasons for the upgrade, analyst John Morris cited valuation as well as his belief that the company will have " a sold fall" and could beat Q4 estimates. The analyst thinks that the company is gaining share. Target to $21 from $18.

10/10/16

BMOC

10/10/16UPGRADEBMOCOutperform

American Eagle upgraded to Outperform from Market Perform at BMO Capital

UAUnder Armour

$38.18

-0.34 (-0.88%)

10/13/16

PIPR

10/13/16UPGRADEPIPROverweight

Under Armour upgraded to Overweight from Neutral at Piper Jaffray

10/10/16

10/10/16UPGRADE

On The Fly: Top five analyst upgrades

Catch up on today's top five analyst upgrades with this list compiled by The Fly: 1. Mylan (MYL) upgraded to Strong Buy from Market Perform at Raymond James with Elliot WIlbur saying the Department of Justice settlement over EpiPen rebates eliminates a significant overhang on shares enabling the focus to be back on fundamentals. 2. Under Armour (UA) upgraded to Outperform from Market Perform at Wells Fargo with analyst Tom Nikic saying "noise" from the Sports Authority's bankruptcy is fading while distribution expansion could lead to sales re-acceleration over the next 12-18 months. 3. Deere (DE) and AGCO (AGCO) were upgraded to Outperform from Market Perform at Wells Fargo. 4. Dow Chemical (DOW) upgraded to Buy from Neutral at UBS with analyst John Roberts saying the merger with DuPont (DD) could gain regulatory approval and that the stock is "now too cheap to ignore." 5. Exelixis (EXEL) upgraded to Overweight from Neutral at Piper Jaffray with analyst Edward Tenthoff saying the data are "good enough" to file a supplemental new drug application and could drive off-label front-line RCC use. This list is just a portion of The Fly's full analyst coverage. To see The Fly's full Street Research coverage, click here.

10/13/16

PIPR

10/13/16UPGRADETarget $44PIPROverweight

Under Armour upgraded to Overweight after teen survey at Piper Jaffray

As previously reported, Piper Jaffray analyst Erinn Murphy upgraded Under Armour (UA) to Overweight from Neutral following the firm's semi-annual proprietary "Taking Stock With Teens" survey. The survey findings support on-going traction for Under Armour within footwear and the women's segment, noted Murphy, who raised her price target on the stock to $44 from $40. Based on the survey's results, other analysts at the firm also downgraded Estee Lauder (EL) to Neutral from Overweight and upgraded Zumiez (ZUMZ) to Overweight from Neutral.

10/10/16

WELS

10/10/16UPGRADEWELSOutperform

Under Armour upgraded to Outperform from Market Perform at Wells Fargo

Wells Fargo analyst Tom Nikic upgraded Under Armour to Outperform saying "noise" from the Sports Authority's bankruptcy is fading while distribution expansion could lead to sales reacceleration over the next 12-18 months. The analyst believes Under Armour's growth story is intact heading into 2017 and that its inventory levels are improving. Nikic raised his price target range for the shares to $44-$46 from $38-$42.

In the latest edition of their firm's Head to Head series, Citi analysts Kate McShane and Corinna Van der Ghinst say Nike (NKE) wins on most metrics when compared to Under Armour (UA) and Adidas (ADDYY). All three brands will likely benefit from "solid" global category growth over the next several years, but Nike still comes out on top given its "consistently strong sales growth and global market share leadership, powerful digital presence," margin expansion potential and attractive relative valuation, McShane and Van der Ghinst tells investors in a research note. They view the 14% pullback in shares of Nike over the past four months as an opportunity to invest in a "best-in-class global secular growth story." Citi analysts have a Neutral rating on adidas and Buy ratings on both Nike and Under Armour.

09/08/16

PIPR

09/08/16DOWNGRADETarget $58PIPRNeutral

Nike downgraded to Neutral from Overweight at Piper Jaffray

Piper Jaffray analyst Erinn Murphy downgraded Nike (NKE) to Neutral after visiting Germany, United Kingdom and France. The resurgence of adidas (ADDYY) has taken a toll on Nike's growth rate in the region, Murphy tells investors in a research note. Nike is also seeing accelerating competition in Europe from Puma, New Balance and surprisingly Reebok, the analyst adds. She points out that markdowns of Nike products were consistent in the region, unlike other brands. Murphy keeps a $58 price target for Nike shares. The athletic brand closed yesterday up 31c to $57.72.

Roth Capital analyst Darren Aftahi notes that Under Armour (UA) has announced integration of its popular MyFitnessPal application with MINDBODY's (MB) platform. The partnership will enable users to search, book and pay for fitness classes directly on the app, which the analyst believes should be beneficial to MINDBODY's subscribers and its business in general. While it is unclear whether the deal with Under Armour is exclusive, the analyst believes it could open the door for MINDBODY to strike similar deals with other large fitness apparel companies like Nike (NKE) and its Nike+ mobile application. He reiterates a Buy rating and $22.50 price target on MINDBODY's shares.

Guggenheim analyst Robert Drbul initiated Nike with a Buy and a $70 price target and believes reacceleration of revenue growth, especially in North America, in 2H17 will serve as a catalyst for the shares.

Baird analyst Jonathan Komp called Nike's Q1 earnings report "mildly disappointing," with several puts and takes, but he also believes sentiment on the stock already reflected low expectations heading into the report. The analyst, who sees some reasons to be optimistic about North America and thinks brand strength and innovation can support improvement as the fiscal year moves on, keeps an Outperform rating and $67 price target on Nike shares.

KORSMichael Kors

$46.63

-0.14 (-0.30%)

09/30/16

09/30/16INITIATION

On The Fly: Top five analyst initiations

Catch up on today's top five analyst initiations with this list compiled by The Fly: 1. Amazon.com (AMZN) initiated with a Buy at Guggenheim. 2. Wal-Mart (WMT) initiated with an Overweight at KeyBanc and a Buy at Guggenheim. 3. Harley-Davidson (HOG) initiated with a Hold at Jefferies. 4. Coach (COH) was initiated with a Buy at Guggenheim while the firm initiated Michael Kors (KORS) with a Neutral. 5. First Solar (FSLR) initiated with a Buy at Williams Capital. This list is just a portion of The Fly's analyst coverage. To see The Fly's full Street Research coverage, click here.

09/29/16

09/29/16INITIATION

On The Fly: Top five analyst initiations

Catch up on today's top five analyst initiations with this list compiled by The Fly: 1. Owens Corning (OC) initiated with a Market Perform at Wells Fargo. 2. Kate Spade (KATE) was initiated with an Outperform at CLSA, while the firm initiated Coach (COH) with a Buy and Michael Kors (KORS) with a Sell. 3. RetailMeNot (SALE) and Groupon (GRPN) initiated with a Neutral at Boenning & Scattergood. 4. Carnival (CCL) initiated with a Hold at Deutsche Bank. 5. D.R. Horton (DHI) initiated with an Outperform at Wells Fargo. This list is just a portion of The Fly's analyst coverage. To see The Fly's full Street Research coverage, click here.

10/04/16

WELS

10/04/16NO CHANGEWELSOutperform

Coach still has upside as share retaken from Michael Kors, says Wells Fargo

Wells Fargo analyst Ike Boruchow believes that after Coach (COH) posted its first positive North American comp last quarter in over three years that it appears many investors have recently "moved on," viewing the turnaround story as played out. However, he thinks here is a long way to go should the brand continue to execute and finds it interesting that while investors were keenly aware of how much market share Michael Kors (KORS) was stealing over the past seven years, now it "doesn't seem like anyone is paying attention" as Coach finally takes back share at Kors' expense. Boruchow reiterate an Outperform rating and $46-$48 price target range on Coach share.

09/30/16

GUGG

09/30/16INITIATIONGUGGNeutral

Michael Kors initiated with a Neutral at Guggenheim

FITFitbit

$13.34

-0.08 (-0.60%)

10/07/16

CLVD

10/07/16NO CHANGECLVD

Cleveland Research is cautious on Fitbit heading into Q4 and Q1 2027

Cleveland Research is cautious on Fitbit heading into Q4 and Q1 2027 saying new product uptake is muted and is concerned about inventory levels.

09/29/16

09/29/16DOWNGRADE

On The Fly: Top five analyst downgrades

Catch up on today's top five analyst downgrades with this list compiled by The Fly: 1. Coca-Cola (KO) downgraded to Hold from Buy at Stifel with analyst Mark Swartzberg saying that Coca-Cola's and Pepsi's organic EPS growth appears to be similar, but he believes that Pepsi is less vulnerable to foreign exchange fluctuations. 2. Fitbit (FIT) downgraded to Underweight from Sector Weight at Pacific Crest analyst Brad Erickson citing his channel checks which indicated that Charge 2, the company's flagship holiday product, is off to a slow start. 3. Discovery (DISCA) downgraded to Market Perform from Outperform at Barrington with analyst James Goss saying that Brexit and sports costs are dragging on its international results and foreign exchange tailwinds are moderating in many geographies. 4. Sonus (SONS) downgraded to Underperform from Market Perform at Cowen with analyst Paul Silverstein saying the firm's industry checks uncovered operational challenges and ongoing employee and executive churn. 5. Alcobra (ADHD) downgraded to Hold from Buy at Cantor and to Perform from Outperform at Oppenheimer. This list is just a portion of The Fly's full analyst coverage. To see The Fly's full Street Research coverage, click here.

Mizuho's checks indicate Fitbit's Charge 2 sell through remains strong with favorable reviews, despite investor concerns. The firm's analyst views the pullback in Fitbit shares as unwarranted, especially since Q3 guidance assume minimal unit sales, and expects the Charge 2 to compete well and serve as a catalyst for Holiday season into Spring 2017. Mizuho continues to believe in Fitbit's long-term opportunity to maintain dominant share with in the increasingly growing global market for wearables while pursing opportunities in the healthcare industry.

GPROGoPro

$13.84

-0.46 (-3.22%)

10/13/16

JPMS

10/13/16NO CHANGEJPMS

GoPro selloff brings buying opportunity, says JPMorgan

10/13/16

PIPR

10/13/16NO CHANGETarget $9PIPRUnderweight

GoPro currently not shipping to Amazon, says Piper Jaffray

Piper Jaffray analyst Erinn Murphy says she uncovered that GoPro (GPRO) is not currently selling to Amazon (AMZN), at least domestically, in a change that occurred over the last three weeks. In a follow-up research note after speaking to management, Murphy clarified that the pause in shipping to Amazon is planned to be temporary. GoPro plans to resume shipping to Amazon at the end of October, Murphy adds. The action camera maker has been shipping to Best Buy (BBY), other partners and its own GoPro.com channel in the meantime, she points out. Nonetheless, the analyst believes the disruption at Amazon was not contemplated in guidance. Murphy is "incrementally concerned" on GoPro's ability to reach its second half of 2016 guidance. The analyst reiterates an Underweight rating on the shares with a $9 price target. The stock closed yesterday down 72c to $14.30.

10/13/16

JPMS

10/13/16NO CHANGEJPMSOverweight

JPMorgan says buy GoPro on today's weakness

JPMorgan analyst Paul Coster views today's weakness in shares of GoPro (GPRO) as a buying opportunity. While GoPro is not shipping Hero 5 via the Amazon (AMZN) channel today, Amazon has been consistently a top five channel partner for the action camera maker, Coster tells investors in a research note. He expects Amazon shipments to resume by month end and points out the hiatus does not apply to international Amazon sales. The one month impact would be 30,000 Hero 5 units through this channel, or less than $10M in GoPro sales, Coster estimates. He calls the decision to halt shipments to Amazon voluntary and believes the company has alternative distribution channels for the new product. Coster has an Overweight rating on GoPro. The shares are down 22c to $14.08 after Piper Jaffray this morning highlighted that Hero shipments to Amazon have stopped.

09/28/16

BOFA

09/28/16NO CHANGEBOFA

New drone competitor won't knock down GoPro Karma, says BofA/Merrill

After DJI announced its Mavic drone, BofA/Merrill analyst Jason Mitchell says that the product will appeal more to drone enthusiasts, while GoPro's Karma drone will be more popular with casual consumers and those focused on film. The analyst sees "little risk" to his Q4 estimates for GoPro as a result of Mavic's launch ,since he did not expect GoPro to obtain much revenue from Karma in Q4. Although the analyst believes that Mavic increases GoPro's risk in fiscal 2017, he continues to believe that Karma will be able to obtain a 4%-5% share of the drone market in fiscal 2017. Mitchell keeps a $19 price target and Buy rating on GoPro.

Wells Fargo analyst Bonnie Herzog says Nielsen channel data indicates that total packaged coffee growth remains soft. In the four weeks ending September 10, sales for the total packaged ground coffee category were down 0.4% year-over-year, Herzog tells investors in an intraday research note. Starbucks' dollar share of the category increased to 12.9% versus 11.8% last year, however, the analyst points out. She believes Starbucks continues to outperform the industry and keeps an Outperform rating on the shares.

09/21/16

09/21/16INITIATION

On The Fly: Top five analyst initiations

Catch up on today's top five analyst initiations with this list compiled by The Fly: 1. Starbucks (SBUX) initiated with a Buy at Longbow. 2. Boston Beer (SAM) initiated with an Outperform at William Blair. 3. Altria Group (MO) was initiated with a Hold at Jefferies while the firm initiated Reynolds American (RAI) with a Buy. 4. Dick's Sporting (DKS) initiated with a Neutral at Guggenheim. 5. E-Trade (ETFC) reinstated with an Outperform at Credit Suisse. This list is just a portion of The Fly's analyst coverage. To see The Fly's full Street Research coverage, click here.

09/20/16

PIPR

09/20/16NO CHANGETarget $72PIPROverweight

Starbucks remains a top pick for 2016 at Piper Jaffray

Piper Jaffray analyst Nicole Miller Regan says Starbucks shares remain her top pick for 2016. Following channel checks, the analyst reiterates her Q4 same-store-sales estimate of 4.9% and earnings per share estimate of 55c. She believes the company remains well positioned even as coffee prices work back up. Regan reiterates an Overweight rating on the shares with a $72 price target.

09/21/16

LBOW

09/21/16INITIATIONTarget $71LBOWBuy

Starbucks initiated with a Buy at Longbow

Longbow analyst Alton Stump initiated Starbucks with a Buy and a a $71 price target. The analyst expects Starbucks comp slowdown in the America's segment during Q3 to rebound over the next 3-6 months as customers adapt to the new loyalty program and views the recent weakness in shares as an attractive entry point.

CMGChipotle

$409.81

-8.71 (-2.08%)

09/14/16

JPMS

09/14/16NO CHANGEJPMS

JPMorgan says buy three restaurant stocks after recent weakness

JPMorgan analyst John Ivankoe recommends using recent volatility to buy McDonald's (MCD), Starbucks (SBUX) and Yum! Brands (YUM), but not Chipotle Mexican Grill (CMG). On Chipotle, the analyst recommends using meaningful price weakness, closer to or below $400, to accumulate the shares.

09/21/16

GSCO

09/21/16NO CHANGETarget $395GSCONeutral

Chipotle comp outlook lowered on slowing Chiptopia benefit at Goldman

Goldman analyst Karen Holthouse said Chiptopia search trends continue to show a significant drop-off in August. As a result, the analyst lowered Q4 comp estimate to down 21.4% from down 18.4% and versus consensus of down 17.7%. Holthouse also trimmed forward estimates and now forecasts Q4 comp of down 5%. The analyst rates Chipotle a Neutral and lowered its price target to $395 from $445.

10/11/16

10/11/16NO CHANGE

Chipotle checks remain weak, says M Science

10/07/16

WBLR

10/07/16NO CHANGEWBLROutperform

William Blair survey shows modest Chipotle sentiment improvement

William Blair analyst Sharon Zackfia says her firm's latest survey of 800 adults showed "modest improvement" in food safety concerns relating to Chipotle Mexican Grill. The percent of respondents "not worried at all" or "not very worried" about food safety hit a survey high of 60%, while the percent of "very worried" respondents stabilized in the 12% to 14% range since June, Zackfia tells investors in a research note. The analyst, however, points out that the percent of respondents eating less frequently at Chipotle remains "persistently high" at 45%, essentially showing no real sustainable improvement since April. Zackfia expects Chipotle's comp sales to stay "significantly negative" through October. The analyst keeps an Outperform rating on the shares.

FBFacebook

$127.82

-1.23 (-0.95%)

10/11/16

NEED

10/11/16NO CHANGETarget $150NEEDBuy

Needham raising Facebook estimates ahead of results

Needham analyst Laura Martin is raising her Facebook estimates for Q3 as she increases her estimates for Ad revenue going forward based on the company's increased number of advertisers using its platform, and her belief that ad growth will continue to realize robust performance for at least the next 12 to 18 months. The analyst reiterates a Buy rating and $150 price target on the shares.

10/13/16

LOOP

10/13/16NO CHANGETarget $165LOOPBuy

Facebook keeps expanding addressable market, says Loop Capital

Loop Capital analyst Blake Harper noted that Facebook has launched several new products over the past week as the company keeps working to expand its addressable market. Among the new offerings, Harper sees "Events" as a natural extension of what people already use Facebook for, views "Workplace by Facebook" as the largest strategic leap and said "Marketplace" should be helpful for users but more difficult to scale as a business considering Facebook's prior challenges in making inroads in e-commerce. While he does not expect near term revenues from any of these products, Harper said Facebook's innovation gives him confidence in his longer-term estimates and keeps a Buy rating and $165 price target on the stock.

Piper Jaffray analyst Gene Munster noted that after Facebook launched its new Marketplace offering on Monday that some users listed prohibited items, such as guns and drugs, that were not caught as they should have been by the company's filter. However, he views the misstep at launch as a "non-event" and thinks nothing has changed in term of Facebook's ability to build world-class products and go after new markets. Munster keeps an Overweight rating and $185 price target on Facebook shares.

10/10/16

WELS

10/10/16NO CHANGEWELS

Alphabet, Facebook can meet Street estimates, says Wells Fargo

Wells Fargo says that investors are concerned about the ability of Facebook (FB) and Google (GOOG,GOOGL) to meet Street estimates because forecasts continue to indicate that TV's ad share will be relatively stable over the next two years. But Wells says that Facebook and Google will continue to gain share from "non-TV media" and could see increased revenue from "non-advertising marketing services" such as sponsorships and public relations. Wells keeps Outperform ratings on both stocks.

TWTRTwitter

$17.79

-0.26 (-1.44%)

10/10/16

JPMS

10/10/16NO CHANGETarget $95JPMSOverweight

JPMorgan sees 'opportune entry point' for Salesforce

JPMorgan analyst Mark Murphy believes shares of Salesforce (CRM) are at an "'opportune entry point" following the recent selloff. The pullback has been driven by a "slightly soft" Q2 and concerns about a potentially expensive acquisition of Twitter (TWTR), Murphy tells investors in a research note. After speaking to industry contacts at Dreamforce, the analyst sees a path for the "overhangs to fade" with a "better pace of business in Q3/Q4" as well as the eventual fading of the Twitter discussion. Murphy reiterates an Overweight rating on Salesforce with a $95 price target in a research note titled "The Most Valuable Cloud Asset Is Undeservedly Undervalued."

Catch up on today's top five analyst upgrades with this list compiled by The Fly: 1. Twitter (TWTR) upgraded to Hold from Sell at Evercore ISI with analyst Ken Sena citing the recent pullback in the shares. 2. Tyson Foods (TSN) upgraded to Outperform from Market Perform at BMO Capital with analyst Kenneth Zaslow saying he thinks that the company's "strong underlying fundamentals" should enable its fiscal 2017 profits to beat expectations, and he says that the shares are undervalued. 3. Virgin America (VA) upgraded to Neutral from Underweight at JPMorgan with analyst Jamie Baker saying regulatory approval of the pending Alaska Air (ALK) takeover "remains more likely than not." 4. Cummins (CMI) was upgraded to Conviction Buy from Neutral and Caterpillar (CAT) was upgraded to Buy from Neutral at Goldman. 5. Carbonite (CARB) upgraded to Outperform from Perform at Oppenheimer with analyst Brian Schwartz saying he sees "substantial upside" from current levels due to valuation and fundamentals. This list is just a portion of The Fly's full analyst coverage. To see The Fly's full Street Research coverage, click here.

10/11/16

DBAB

10/11/16NO CHANGETarget $22DBABBuy

Twitter guidance could meet, exceed estimates, says Deutsche Bank

Deutsche Bank analyst Ross Sandler says that for the first time in a year, Twitter's guidance could meet or exceed consensus expectations. The analyst sees a good risk/reward profile for shares into the company's Q3 results. He notes that his channel checks point to a "high-end of the range" revenue with "slightly up" monthly active users for Q3. Twitter's NFL live video project "has been by all accounts a smashing success," Sandler tells investors in a research note. He keep a Buy rating on Twitter with a $22 price target.

AMZNAmazon.com

$829.28

-4.81 (-0.58%)

10/12/16

MSCO

10/12/16NO CHANGETarget $110MSCO

Morgan Stanley sees 'un-grandfathering' peaking for Netflix in Q3

Morgan Stanley analyst Benjamin Swinburne believes the market expects Netflix (NFLX) to report Q3 domestic net subscriber additions that fall short of the company's 300K forecast. However, he thinks the impact of "un-grandfathering" will peak in Q3 and that the percentage of U.S. members seeing price increases will begin to fade in Q4. While acknowledging that Amazon (AMZN) continues to grow as a competitor for content and time spent, Swinburne notes that local and regional players in many markets continue to struggle. The analyst keeps an Overweight rating and $110 price target on Netflix shares.

10/12/16

CANT

10/12/16NO CHANGETarget $1000CANTBuy

Amazon.com price target raised to $1,000 from $835 at Cantor

Cantor Fitzgerald analyst Youssef Squali raised his price target for Amazon.com to $1,000 from $835 citing continued strength in core retail and sustained momentum in Web Services. The stock closed yesterday down $10.71 to $831.00. We're reaching a tipping point in e-commerce, with revenue growth in the U.S. accelerating year-over-year in the first nine months of 2016, Squali tells investors in a research note. This trend is "playing into the hands of market leader Amazon," the analyst contends. He points out that Prime's user base is growing and that Amazon's share of retail searches online is growing. The analyst expects Amazon Web Services' "strong economics" to continue to fund growth initiatives at Amazon. Squali sees the stock as continuing to "grind higher." He keeps a Buy rating on the name.

EBAYeBay

$31.51

0.01 (0.03%)

10/13/16

WEDB

10/13/16INITIATIONWEDBNeutral

eBay coverage assumed with a Neutral at Wedbush

Wedbush analyst Aaron Turner says that eBay's e-commerce initiatives should help slow its market share erosion. However, the analyst prefers to keep a Neutral rating on the shares until the company shows that its "recent growth is sustainable and/or accelerating." Target to $34 from $29.

10/13/16

10/13/16INITIATION

On The Fly: Top five analyst initiations

Catch up on today's top five analyst initiations with this list compiled by The Fly: 1. Aaron's (AAN) initiated with a Buy at Jefferies. 2. eBay (EBAY) and Etsy (ETSY) coverage assumed with a Neutral at Wedbush. 3. Five Below (FIVE) and Dollar Tree (DLTR) were initiated with an Overweight at KeyBanc while the firm initiated Dollar General (DG) with a Sector Weight. 4. Baxter (BAX) initiated with an Outperform at Wells Fargo. 5. Symantec (SYMC) initiated with an Outperform at FBN Securities. This list is just a portion of The Fly's analyst coverage. To see The Fly's full Street Research coverage, click here.

10/13/16

SBSH

10/13/16NO CHANGETarget $83.5SBSHSell

eBay stake sale creates 'large overhang' for MercadoLibre, says Citi

Citi analyst Lucio Aldworth sees several reasons why eBay's (EBAY) sale of a majority of its stake in MercadoLibre (MELI) creates a "large overhang" on the latter's shares. Namely, he believes the market has always seen eBay as a plausible candidate to take over MercadoLibre, but he thinks this action should remove any M&A premium currently priced into the stock. Additionally, Aldworth notes that eBay said its commitment to Latin America e-commerce remains unchanged, which could mean it will eventually enter the market directly, intensifying competition for MercadoLibre. Aldworth keeps a Sell rating on MercadoLibre shares, which are down 8% in early trading to $168.40.

Baird analyst Colin Sebastian said eBay's (EBAY) sale of a majority of its investment stake in MercadoLibre (MELI) will provide eBay with both financial and strategic flexibility. The analyst believes the capital will allow eBay to increase share buybacks, make strategic acquisitions, or expand more aggressively in Latin America under a new strategic agreement with MercadoLibre. Sebastian maintained his Outperform rating and $35 price target on eBay shares.

AAPLApple

$116.98

-0.36 (-0.31%)

10/13/16

BERN

10/13/16NO CHANGEBERN

Apple to have in-line Q4 results, Q1 guidance beat, says Bernstein

Bernstein analyst A.M. Sacconaghi, Jr. expects Apple to report in-line Q4 results and provide higher than expected Q1 revenue and iPhone sales guidance. However, the analyst says it's " too soon to have conviction on the strength of the iPhone 7 cycle." Sacconaghi, Jr. maintains that the extra week in this year's December quarter will be offset by a lower expected channel build this year and seven fewer, high volume launch sales days in the quarter this year. The analyst raised the price target on the stock to $135 from $125 and keeps an Outperform rating on the shares.

10/13/16

PACS

10/13/16NO CHANGETarget $129PACSOverweight

Apple price target raised to $129 from $121 at Pacific Crest

Pacific Crest analyst Andy Hargreaves said he believes current iPhone expectations are "reasonable" and that he expects Apple to report September quarter hardware revenue that is largely in line with current consensus. He also sees the potential for upside to EPS and gross margins in the quarter, given the strong App Store download activity the company discussed at its iPhone launch event and the likelihood that its monetization of "Pokemon Go" was solid. The analyst raised his price target on Apple shares to $129 from $121 and keeps an Overweight rating on the stock.

10/12/16

10/12/16UPGRADE

On The Fly: Top five analyst upgrades

Catch up on today's top five analyst upgrades with this list compiled by The Fly: 1. Apple (AAPL) upgraded to Positive from Negative at OTR Global with the firm saying its checks indicate iPhone 7 launch orders are above last year's model launch, with fourth quarter order gains and stable inventories. 2. Procter & Gamble (PG) upgraded to Buy from Hold at Argus with analyst John Staszak citing the company's plans to accelerate Research & Development and advertising spending, as well as recent positive earnings surprises. 3. Barracuda (CUDA) upgraded to Overweight from Neutral at Piper Jaffray with analyst Andrew Nowinski saying the company reported "another strong quarter" and its transition to a subscription-based cloud portfolio is nearly complete. 4. AMD (AMD) upgraded to Neutral from Underperform at Credit Suisse with analyst John Pitzer saying near-term momentum will continue to offset longer-term concerns around lack of scale. 5. Motorola Solutions (MSI) upgraded to Outperform from Market Perform at BMO Capital with analyst Tim Long saying he expects organic revenue growth to return later this year and sees the company's investment in smart public safety software to help expansion beyond hardware. This list is just a portion of The Fly's full analyst coverage. To see The Fly's full Street Research coverage, click here.

Catch up on today's top five analyst upgrades with this list compiled by The Fly: 1. Chesapeake (CHK) upgraded to Buy from Hold at Wunderlich with analyst Jason Wangler saying the company's assets are performing and its balance sheet is improving. 2. GameStop (GME) upgraded to Buy from Neutral at Hilliard Lyons. 3. Finisar (FNSR) upgraded to Buy from Neutral at MKM Partners with analyst Michael Genovese saying he is "extremely upbeat on the Optical components/module industry," and Chinese demand for 10G and 100G Optical modules appears it can stay strong for multiple years. 4. Randgold (GOLD) upgraded to Buy from Neutral at UBS with the firm citing the recent pullback in the shares and the potential for a dividend raise in 2017. 5. Teekay LNG (TGP) upgraded to Outperform from Market Perform at Wells Fargo analyst Michael Webber saying the discount to net asset value and the company's progress around financing its order book make the valuation "particularly compelling." This list is just a portion of The Fly's full analyst coverage. To see The Fly's full Street Research coverage, click here.

10/12/16

RHCO

10/12/16NO CHANGERHCO

Best Buy, GameStop should be able to sidestep Note 7 impact, says SunTrust

SunTrust analyst David Magee, in two separate notes to investors, said that he believes Samsung's (SSNLF) troubles with the Galaxy Note 7 should not translate to shortfalls for either GameStop's (GME) mobile stores or for Best Buy (BBY), as in both cases most of their customers will simply pick different models. Sony's VR headset and other upcoming products in the category are "ideal for customers to try out in stores," added Magee, who keeps a Buy rating on both GameStop and Best Buy.

09/09/16

PIPR

09/09/16NO CHANGEPIPR

August NPD video game software sales rose 1%, says Piper Jaffray

Piper Jaffray analyst Michael Olson says August NPD video game software sales were up 1% year-over-year, driven by Sony (SNE) publishing No Man's Sky and Electronic Arts' (EA) Madden NFL 17. The data are most positive for Activision Blizzard (ATVI), which continued to benefit from sell-through of incremental title Overwatch, Olson tells investors in a research note. He believes the monthly numbers are largely irrelevant for Take-Two (TTWO), since NBA 2K17 is due out in September, and GameStop (GME), since the company announced October quarter guidance at the end of August.

Wells Fargo analyst Marci Ryvicker upgraded Viacom (VIAB) to Market Perform saying she believes shares are close to a floor. A merger with CBS (CBS) does not appear imminent, but if/when it does happen, CBS is unlikely to pay less than $32-$33 per Viacom share in a take-under, Ryvicker tells investors in a research note. The analyst has a $33-$35 price target range for Viacom shares. Ryvicker says that she still "REALLY" likes CBS and is cautious on CBS and Disney (DIS) into the Q3 earnings season.

09/28/16

SBSH

09/28/16NO CHANGESBSHBuy

Citi hopes Disney does not acquire Twitter

Citi analyst Jason Bazinet lays out four reasons for why he doesn't like Disney (DIS) pursuing an acquisition of Twitter (TWTR). Going back 15 years, the analyst can't think of a single web-based property that was successfully acquired by a traditional media firm. Two, he calls Twitter trends "troubling." Three, Bazinet estimates a cash offer would lower Disney's stock by $5 per share while an equity offer would drop its stock by $9. Four, the analyst feels it is unclear how Disney's content will help Twitter. Bazinet thinks both Yahoo (YHOO) and Twitter lost "significant money" when they streamed NFL content over the web. The analyst hopes Twitter is acquired by somebody other than Disney. He keeps a Buy rating on Disney shares. Both Loop Capital and Mizuho this morning downgraded Twitter to sell ratings.

Citi analyst Walter Pritchard believes a Salesforce (CRM) acquisition of Twitter (TWTR) is possible financially but that such a deal would put "significant constraints" on the company for the next three-plus years. The analyst sees "very little reason" for Salesforce to own Twitter and feels the acquisition "would pose a difficult decision" for CEO Marc Benioff and the board. Salesforce closed yesterday down 6%, or $4.21, to $68.42. Recode reported last night that the company is likely the only bidder left for Twitter after Disney (DIS) and Alphabet (GOOG) opted not to pursue a deal while Apple (AAPL) is unlikely. Twitter in pre-market trading is down 14% to $21.50. In order for Salesforce to avoid a shareholder vote, it would have to borrow $7.5B to fund the transaction if Twitter were valued at $20B, or $27.50-$28 per share, Pritchard tells investors in a research note. This is a level that likely constrains the company with little additional borrowing capacity for other deals, the analyst contends. He thinks the deal is "nearly impossible to do" for Salesforce should the bidding for Twitter go above $20B or $28 per share. Pritchard has a Buy rating on Salesforce with an $89 price target.

10/10/16

DBAB

10/10/16INITIATIONTarget $90DBABSell

Deutsche sees Netflix takeover as unlikely, starts shares at Sell

Deutsche Bank analyst Bryan Kraft initiated shares of Netflix (NFLX) with a Sell rating and $90 price target. The stock closed Friday down 25c to $104.82. The risk/reward is unattractive as consensus expectations reflect an "optimistic case," Kraft tells investors in a research note. Market expectations appear too high through 2020, the analyst contends. He also expresses skepticism that Netflix will be acquired. The business is "too fully formed" and valued to be acquired by Disney (DIS) and Apple (AAPL), Kraft writes. He also sees Amazon.com (AMZN) as a competitive risk to Netflix.

PPandora

$13.17

-0.16 (-1.20%)

10/04/16

10/04/16UPGRADE

On The Fly: Top five analyst upgrades

Catch up on today's top five analyst upgrades with this list compiled by The Fly: 1. CBS (CBS) upgraded to Buy from Sell at UBS with analyst Doug Mitchelson saying he sees any deal with Viacom (VIA) as priced into CBS shares already. He also has increased confidence in consensus estimates for CBS and sees further upside if the national TV ad market and CBS' ratings remain strong. 2. Pandora (P) upgraded to Conviction Buy from Buy at Goldman with analyst Heath Terry saying he sees significant upside to out-year estimates from premium radio and on-demand subscriptions. He expects competition to ease as new entrants slow and existing providers focus on profitability and limit "free" models. 3. Las Vegas Sands (LVS) upgraded to Buy from Neutral at BofA/Merrill with analyst Shaun Kelley saying shares remain fairly under-owned and thinks estimate revisions will move higher due to market momentum, better ROI for Parisian, Cotai infrastructure additions, and optionality from Japan and real estate. 4. KBR (KBR) upgraded to Buy from Hold at Deutsche Bank with analyst Chad Dillard saying yesterday's 10% post-guidance cut selloff is overdone and backward-looking. 5. West Marine (WMAR) upgraded to Buy from Neutral at B. Riley. This list is just a portion of The Fly's full analyst coverage. To see The Fly's full Street Research coverage, click here.

09/14/16

PACS

09/14/16NO CHANGEPACS

Pandora deal negative, says Pacific Crest

Pacific Crest analyst Andy Hargreaves says that Pandora's deals with music labels create a business model that "is fraught with a lack of limited control of content costs and a lack of incremental leverage on operating expenses." The analyst says that the agreement "cedes control of (Pandora's) content costs to the major labels," significantly reducing his confidence in the company's profitability going forward. He keeps an Underweight rating on the stock.

After Pandora announced direct deals with most of the major music labels, SunTrust analyst Robert Peck says that the deals will enable the company "to launch new interactive services and enhance existing products." He thinks that improved monetization as a result of more expensive ads could enable it to offset "potential cost increases" stemming from higher royalties. He keeps an $18 price target and Buy rating on the shares.

10/04/16

GSCO

10/04/16UPGRADETarget $19GSCOConviction Buy

Pandora upgraded to Conviction Buy from Buy at Goldman

Goldman analyst Heath Terry added Pandora to the Conviction Buy List and raised his price target to $19 from $17. Terry sees sees significant upside to out-year estimates from premium radio and on-demand subscriptions. He expects competition to ease as new entrants slow and existing providers focus on profitability and limit "free" models.

GOOGAlphabet

$778.19

-7.95 (-1.01%)

09/28/16

09/28/16DOWNGRADE

On The Fly: Top five analyst downgrades

Catch up on today's top five analyst downgrades with this list compiled by The Fly: 1. Alphabet (GOOG, GOOGL) downgraded to Underperform from Neutral at Wedbush with analyst James Dix citing concerns that the "Four Horsemen of the Search Apocalypse" -- self-identified consumers, consumer control of IP-delivered ads, payments innovation, and attention markets -- might arrive. 2. AT&T (T) downgraded to Neutral from Buy at UBS with analyst John Hodulik citing expectations for lower earnings growth. 3. Macy's (M) downgraded to Neutral from Outperform at Credit Suisse with analyst Michael Exstein saying the retailer, after outlining in August its operations and merchandising strategies, is now in an execution phase. 4. Twitter (TWTR) downgraded to Underperform from Neutral at Mizuho and to Sell from Hold at Loop Capital. 5. Galectin Therapeutics (GALT) downgraded to Sell from Buy at Roth Capital with analyst Sa'ar Yaniv citing the company's announcement that NASH-FX, GR-MD-02's Phase 2a study in NASH fibrosis, failed both primary and secondary endpoints. This list is just a portion of The Fly's full analyst coverage. To see The Fly's full Street Research coverage, click here.

10/12/16

WELS

10/12/16NO CHANGEWELSMarket Perform

Wells doesn't see Apple as biggest beneficiary from Samsung issues

Wells Fargo analyst Maynard Um attributes the recent rally in shares of Apple (AAPL), at least in part, to Samsung's (SSNLF) issues with its Note 7 phones. Apple gained an incremental $14B in market capitalization at its intraday peak, which the analyst believes embeds more than 3M of incremental iPhone 7 Plus units. Samsung's production halt will help Apple, but other Android vendors with 5.7 inch phones could see a bigger benefit if Android users prefer to stick with Android, Um tells investors in a research note. He points out that LG, Kyocera, and Microsoft (MFST) have 5.7 inch Android phones at U.S. carriers. Um thinks expectations for Apple into earnings "have risen materially." He keeps a Market Perform rating on the iPhone maker. Apple closed yesterday up 25c to $116.30.

GOOGLAlphabet Class A

$804.08

-7.69 (-0.95%)

09/30/16

RBCM

09/30/16NO CHANGERBCM

Street underestimating Google growth outlook, says RBC Capital

RBC Capital analyst Mark Mahaney expects Google to end 2016 with "up to 20% growth," versus the Street's outlook of mid teen percentage level growth. Mahaney says that Google's growth should be boosted by "ongoing Search innovations, rising Mobile CPCs, and the growing impact of YouTube, Play & Cloud." He thinks that YouTube's revenue is growing at a 30%-40% clip. Mahaney raised his price target on the stock to $1,025 from $1,000 and keeps an Outperform rating on the shares.